1. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Chapter 6 Marketing Research

2. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Marketing Research According to the American Marketing Association (AMA), “the function which links the consumer, customer, and public to the marketer through information.”

3. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G 1. Identify and define marketing opportunities and problems. 2. Generate, refine, and evaluate marketing actions. 3. Monitor marketing performance. 4. Improve understanding of marketing as a process. Marketing Research (continued) The information is used to:

4. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Reasons for Doing Marketing Research: The Five Cs 1.Customers: To determine how well customer needs are being met, investigate new target markets, and assess and test new services and facilities 2.Competition: To identify primary competitors and pinpoint their strengths and weaknesses

5. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G 4.Confidence: To reduce the perceived risk in making marketing decisions 5.Credibility: To increase the believability of promotional messages among customers 6.Change: To keep updated with changes in travelers’ needs and expectations Reasons for Doing Marketing Research: The Five Cs (continued)

6. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Figure 6.3 Relationship of marketing research to the hospitality and travel marketing system.

7. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Five Key Requirements of Marketing Research Information 1.Utility: Can we use it? Does it apply to us? 2.Timeliness: Will it be available in time? 3.Cost-effectiveness: Is it worth the money? 4.Accuracy: Is it accurate? 5.Reliability: Is it reliable?

8. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Figure 6.5 Five requirements for good research information.

9. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Marketing Research Process 1. Define the research problem 2. Develop an approach to the research problem 3. Formulate the research design 4. Conduct the data collection or fieldwork 5. Prepare the data and analysis 6. Prepare and present the research report

10. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Figure 6.6 The marketing research process steps and procedures.

11. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Secondary and Primary Research Secondary research: Published information available from other sources, either internal or external Primary research: Data collected for the first time, by a method other than secondary research, to answer specific questions

12. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Figure 6.8 Sources of secondary research data.

13. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Primary Research Methods 1.Experimental (e.g., test marketing) 2.Observational (human and mechanical) 3.Survey (telephone, personal interview, online, mail, in-house ) 4.Simulation 5.Focus groups

14. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. H O S P I T A L I T Y & T R A V E L M A R K E T I N G & T R A V E L M A R K E T I N G Figure 6.11 Primary research methods and techniques.